India and US Gear Up for Landmark Bilateral Trade Agreement Amid Tariff Talks

India and the US are in discussions to negotiate a landmark Bilateral Trade Agreement to boost trade amid plans for reciprocal tariffs. The agreement aims to enhance market access and integrate supply chains, possibly setting new standards for bilateral trade relations.

In a significant development, India and the United States are preparing to negotiate a landmark Bilateral Trade Agreement (BTA), potentially boosting bilateral trade amid US President Donald Trump's proposed reciprocal tariffs on trading partners including India. MEA spokesperson Randhir Jaiswal announced the initiative, emphasizing its aim to deepen trade ties between the countries.

This BTA seeks to enhance two-way trade in goods and services, improve market access, and reduce trade barriers. The announcement follows Prime Minister Narendra Modi's US visit in February 2025, where the foundation for a mutually beneficial, multi-sector BTA was laid. Commerce and Industries Minister Piyush Goyal has been instrumental, meeting with US counterparts to advance the dialogue.

Trump's push for tariffs on India comes after previous criticisms on import duties, especially on automobiles. The intended BTA reflects a broader strategy to integrate supply chains between India and the US, fostering economic growth on both sides. As negotiations unfold, India will likely push for better market access while the US eyes increased agricultural exports.

(With inputs from agencies.)